can anyone help me with installing this mod?? and where can i find all the mods that are compatible with the Oblivion Mod Manager? Since that is fairly simple to use

Mods do not conflict with the Mod Manager, as the Mod Manager is designed to help manage the mods to assist in compatibility between mods. What helps are mods that have the omod format, which is designed to be used with OBMM to simplify installation of mods.

As far as installing the mods, check out this link: http://thenexusforums.com/index.php?showtopic=21998

hopes this helps.